Investment Rating - The report indicates a positive outlook on the military industry, particularly focusing on the integration of AI and robotics in military applications, suggesting significant growth potential in this sector [3]. Core Insights - The global military transformation is entering a new phase characterized by intelligence and unmanned operations, with AI and robotics reshaping warfare and equipment systems [3][18]. - AI is expected to reconstruct military decision-making processes, opening up a market potential of hundreds of billions, with the global military intelligence application scale projected to reach $358 billion by 2034 [3][30]. - The evolution of combat systems is marked by the emergence of robotic clusters as a new form of combat power, with military robots transitioning from auxiliary platforms to autonomous intelligent combat systems [3][65]. Summary by Sections 1. Core Driving Logic: Evolution of Warfare Towards Intelligence and Unmanned Operations - Military transformation is driven by the shift from mechanization and informatization to AI-driven intelligent and unmanned combat [6][8]. - The future of warfare will see unmanned systems as the main force, with human operators managing tactical tasks from a distance [8][9]. 2. AI: Restructuring Battlefield Decision-Making - AI is a core variable in redefining battlefield rules, with its military applications including decision support, autonomous operations, and real-time data analysis [18][24]. - The global military AI application market is projected to grow at a CAGR of 13% from 2024 to 2034, reaching approximately $358 billion [30][34]. 3. Military Robots: New Quality Combat Forces - Military robots are categorized into ground, underwater, surface, aerial, and space robots, each serving distinct operational roles [63][65]. - AI technology is enhancing military robots, enabling them to evolve into autonomous intelligent combat systems with capabilities for intelligent perception and decision-making [65][66]. 4. Overseas Mapping: Palantir and Anduril - Palantir is highlighted as a key player in the military AI sector, leveraging strong data analysis and AI decision-making capabilities [3]. - Anduril is noted for integrating AI software and hardware, establishing a competitive edge in defense technology products [3]. 5. Domestic Situation: AI and Robotics Expected to Deeply Integrate - China is actively advancing military intelligence and unmanned construction, with significant potential for AI and robotics integration in military applications [3][19]. 6. Key Investment Targets - Key companies to watch include Zhongke Xingtu and Xingtuxinke in the military AI sector, and Jingpin Tezhuang and Jianshe Gongye in the military robotics sector [3].